Why Luxury Cars Are Becoming Popular In Recent Times

Luxury Cars

After the recession, people are coming back to normal times with an increase in wealth all around. This trend has had an effect on the luxury car market. With the growing wealth there is an increase in the demand for luxurious and speedy cars in the past decade. Bentley and Rolls Royce sold record number of vehicles in the year 2014. At the same time, the top executives of the companies making cheaper models believe that luxury models help to add a touch of class to their brand. They concentrate on alluring young buyers and encouraging the ones who already own their models to trade up for more luxurious models.

The new GT unveiled by Ford in Detroit is an attempt to provide a race car glamour touch to an otherwise mass market brand.

Another reason why companies want to produce and market luxury cars is that there is a much higher profit margin on these luxury products.

The profit on Ferrari is as much as 15 % and 10 % on Rolls Royce. This data has been provided by experts.

For some luxury car makers the question is how much do they want to expand their horizons. There is difference in opinion among industry top bosses that should they try to sell more cars or should they try to retain the brand value by keeping car production and sales low. This rift among the top bosses could be seen in the ousting of Mr Di Montezemolo from the post of chief executive of Ferrari because he had a difference of opinion with the boss of the parent firm Fiat Chrysler Mr Sergio Marchionne.

What You Should Bear In Mind While Buying A Luxury Car

The idea of owning a luxury car appears to many people, but few people can actually afford one. However, if you have decided to up your status in society by buying one, then there are some things that you need to keep in mind.

Buy A Luxury

If you are planning to buy a luxury car then check its residual value rating. Many of these cars are leased and the value of the vehicle at the end of the lease decides what the vehicle is worth at that point in time. This is a key indicator of the quality of the vehicle and the value retention characteristics of a specific model. This calculation also depicts the durability and reliability of the car. This is because they are the main factors which decide the resale performance of the used luxury car.

Buying A Used Luxury Car

See if the manufacturer is offering a free maintenance package along with the vehicle. This will be the method that manufacturers of poor quality vehicles use to lure buyers by putting the doubt out of their mind25

Check the classifieds for the prices of the luxury cars. Compare them with each other because the second hand market is a canny one. The used car lots are manned by people who know which car hold the best value. The buyers of used cars are also pretty smart and known what to look for. Buying a used luxury car will give you the satisfaction of driving a prestigious vehicle without having to dig a hole in your pocket. Read more atneighboursreunite.co.uk